Question:
I have heard so many different stories as far as whats allowable and whats not. So I look to the wonderful experienced folks here at the roundtable for some answers.
Thanks in advance for your input.................

Answer:
I don't know how true this is, but I was told by a tax guy that you can deduct anything that is an operating expense as long as it was bought outside of 50 miles of you residency and was directly attributed to the job in which you are doing. You also must have receipts and where the item's are bought. I have heard you can deduct meals, clothes(as long as they are for the job), any supplies, and any upkeep on yourself & equipment. Like I said I don't know how true it is but what I was told by a tax professional. I asked him about why it had to be bought outside of 50 mile radius of home he said as a truck driver it look's a lot better than if you went to the local wal-mart and bought it. Reason being that they technically could argue that it wasn't for work if bought from somewhere close to home.
I have found that it is best to buy whatever you need. Keep all the receipts and show whoever does your taxes all your receipts, where it was bought, and the purpose it was bought. Your tax guy will tell you what is a deduction and what is not a deduction. That is the safest and easiest way to do. Keeps you from going is this deductible or not and should I keep this or not. I keep all my record's just to make sure.
If it ain't broke modify it, that's what I do. Funny thing is it alway's end's up falling apart. Can't quite figure it out.


Answer:
I copied your post to the Tax Forum, so be sure to check there for replies, as well.

Answer:
If it's for the truck or to be used while you are trucking this 50 mile thing makes no sense! If it's a legit deduction they have to accept it!
I buy what I can at home, much easier to shop in my 4-wheeler!
The tax man would have to show me this rule in writing. Makes no sense at all, even if we are talking about the government!
I do agree about keeping all receipts though, that just makes good sense.
A better idea then a "tax man" would be to have an accountant who knows the rule regarding operation of a truck. H&R Block hires/trains in October for the upcoming tax season, with all the ins ands outs of tax preparation, I doubt they know it all!
Drive on! bandit58....

Answer:
There is no 50 mile rule for purchases, Truckin' in Texas needs a new "Tax Guy".
Anything that you use in your job is deductible, CB, cleaning supplies, pens, pencils, notebooks, laundry bag, shower bag, bedding, showers, phone calls while on the road, gloves, tools, motels, CDL fees. If you use a laptop for routing or paperwork, you can deduct the percentage that you use for work( $1500 laptop; 85% personal use, 15% work use= $225 deduction). If you have clothes that you only wear for work, doesn't have to be a uniform.
$38 a day standard meal allowance, while away from home.
Chrome, and speeding tickets, are not deductible.
Answer:
The easiest thing to do is to just take the standard $38 deduction that the IRS allows you. That is $38 for every day you can prove with your logbooks that you were OTR. If you get per diem pay you might not be able to take the full deduction in fact if your per diem is really high you might have to pay some taxes back. On the other hand, you're not going to save a whole hell of a lot more money by keeping receipts and itemizing its a total waste of time imo. But if you do do this you can deduct anything you purchase for you truck (cleaning supplies, windshield washer fluid, etc) or something you need to perform your job (maps, coolers, sheets for the bunk) regardless of how far away from home it is or not. As long as it is something you bought for the job you can deduct it. ( disclaimer: I'm a truck driver with an expert opinion on many matters taxes, politics, etc, etc but I am not really a tax professional )

Answer:
I think someone was using this as just a rule of thumb. The rules state that you must be away from your tax home in order to claim travel expenses (which includes lodging and meals).
"Generally, your tax home is your regular place of business or post of duty, regardless or where you maintain your family home. It includes the entire city or general area in which your business or work is located.
...
If you do not have a regular or main place of business because of the nature of your work, then your tax home may be the place where your regularly live."

Answer:
First off all, I never said the 50 mile thing was a rule and never said it was correct. I just said what I was told. If you would have looked later at my post I said what I actually do. The other thing people need to realize is the more fishy your deduction's look the more the IRS is going to investigate them. So what I am trying to say is keep the deduction to a work related thing. Going to a store close to home during your time off actually makes it look less legit and less like a business expense.
If it ain't broke modify it, that's what I do. Funny thing is it alway's end's up falling apart. Can't quite figure it out.


Answer:
I guess it looks less legit when you have your log book stating you were off duty and at the house when you bought certain expenses. Yeah that is what I meant to say.
If it ain't broke modify it, that's what I do. Funny thing is it alway's end's up falling apart. Can't quite figure it out.


Answer:
Originally posted by Tuco:
The easiest thing to do is to just take the standard $38 deduction that the IRS allows you. That is $38 for every day you can prove with your logbooks that you were OTR. If you get per diem pay you might not be able to take the full deduction in fact if your per diem is really high you might have to pay some taxes back. On the other hand, you're not going to save a whole hell of a lot more money by keeping receipts and itemizing its a total waste of time imo. But if you do do this you can deduct _anything_ you purchase for you truck (cleaning supplies, windshield washer fluid, etc) or something you need to perform your job (maps, coolers, sheets for the bunk) regardless of how far away from home it is or not. As long as it is something you bought for the job you can deduct it. ( disclaimer: I'm a truck driver with an expert opinion on many matters taxes, politics, etc, etc but I am not really a tax professional )
The $38 a day is a meal allowance, you can take that everyday that you are out, on top of all the deductions for supplies, tools, etc., etc.. It's not an either/ or. The $38 dollar standard deduction, is only for meals. You might also want to check IRS Publication 1542, because depending where you travel most, you may be able to deduct even more, up to $50 a day. and don't forget that the meal allowance is subject to a 65% limit ( for Truckdrivers subject to HOS rules, 50% for everybody else). which means, that you can only deduct $24.70 of the $38 in 2002. I'm not sure what % it is in 2003, but it is supposed to increase to 80% by 2008.
And as always, money paid to a "Real" Tax professional is deductible.
Answer:
Meal/food expenses: Take deduction one of two ways. 1) Save all your reciepts and take actual deduction 2.) Take the standard deduction of $38/day. A day is defined as every 24 hour period you are away from home. Both subject to a percentage of the actual amount. The standard deduction is a lot easier to use especially if you buy your food in the grocery store and eat most of your meals in the truck.
Business related items: Anything that you purchase to do your job. It does not matter where it was purchased as long as it was job related. Be sure to save your reciepts for these duductions.
Some items you can deduct (not all inclusive)
Work gloves
Work Boots
Pens
Notebooks
Rulers
White out
Staper and/or paperclips
Tape
Tools
Cleaning Supplies (washer fluid, Windex, Paper towles, carpet cleaner, etc.)
Calculater
Road Map(s)
coveralls
hard hat
safety glasses
bedding (pillow, sheets, blankets, etc.) if used solely in the truck
Entertainment Expenses while on the road (ie books)
When you go to do your shopping be sure to buy and get a reciept for the items you purchasing for use while on the road separately from those items you plan on using at home. Makes things a lot easier at tax time.
I will always be a mutter trucker at heart.
Answer:
Don't be lulled into thinking that $38/day 'deduction' amounts to a big deal. you have to be out a lot of days before it adds up to more than your standard deduction, and after that you get maybe $1.40 to $1.80 a day back on your refund using it. That $38 adds up to less than $2.00 a day, and this is just getting your own money back from Uncle Sam. after you get out there on The Big Road, you will learn how to lie to yourself and others about all manner of things, so you'll be a millionare super trucker in no time. Go get 'em.
You want to save real money, then hang out at a truckstop and buy as much stuff as you can used. There are plenty of people quitting OTR every day and selling their kits. Buy all that crap new, and your big 'tax deductions' won't even cover the sales taxes on that stuff.
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Humans are amazing creatures. "With all the things you can train them to do, I've been considering getting one."-Stoney
[This message was edited by Dominoes on June 24, 2003 at 7:35.]Jay Gould
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This post coming to you live, from Jesus Land !!!

Answer:
Here's a previous post of mine that illustrates what the bracketing of our tax system does to deductions on payroll taxes.
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Senior Member
posted January 27, 2003 18:49
quote:
so I can keep my residency requirements for taking advantage of the food (et al.) write offs. So, I can save a good 13-to-15 grand a year. Not bad money.
Write Offs
Well, assuming you are one the few newbies who manage to end up around $30k your first year ....
The $38/day meal deduction? What is it really worth to you as a driver?
assume an adjusted gross income of $30,000 on your 1040.
assume you are out 340 FULL days; full days are required for the full deduction.
340 X $38 = $12,920
On line 9 of form 2106, you are going to multiply this by 0.60.
0.60 X $12,920 = $7,752
Assuming no other deductions, you have $22,248.
Deducting another $2,900, you have $19,348 as a single filer now.
Tax from the 2001 tables is $2,899.
Just taking the standard deduction of $,4550, you have:
$30,000 - $4550 - $2,900 = $22,550.
Tax from the table is $3,379.
Difference is $3,379 - $2,899 = $480.
$480/340 days = $1.41 a day in real terms, over just taking the standard deduction and not itemizing.
Now if you lived in the truck, you wouldn't really qualify for this much. I just used the 2001 1040 and tax tables, and left out everything but the standard meal deduction, as a little exercise in 'big write offs'. Your results may vary; I recommend a special 'Trucker Math Calculator'. There's always one on the CB or lounging around the chrome section 'Waiting For The Next Hot Load'.
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You have to be out a LONG time for the $38/day to amount to even the price of a soft drink at a truckstop or convenience store every day. Keeping up with all those receipts is hardly even worth the time involved in dealing with them. Just buy the stuff as cheap as you can find it, and forget the 'tax deduction' scam.
___________________________
Humans are amazing creatures. "With all the things you can train them to do, I've been considering getting one."-Stoney Jay Gould
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This post coming to you live, from Jesus Land !!!

Answer:
DANG! I forgot aout the standard deduction! Too bad truckers can't deduct that per diem on top of standard deduction.

Answer:
The new per diem rate as of October 31 2002 is now $40.00 instead of $38.00!
Here
and Here
Drive on! bandit58....